Eastern Virginia Bankshares, Inc. Announces Private Placement of $20.0 Million of Fixed to Floating Rate Subordinated Notes
Troutman Sanders received numerous press mentions – 4-traders, MarketLine Financial Deals Tracker, NewsBites, Richmond BizSense– for assisting firm client Eastern Virginia Bankshares, Inc. in completing its private placement of $20 million in aggregate principal amount of fixed-to-floating rate subordinated notes to specified institutional accredited investors.
The company plans to use the net proceeds from the sale of the subordinated notes to redeem the remaining 9,000 shares outstanding of its Fixed Rate Cumulative Perpetual Preferred Stock, Series A. That stock was originally issued to the U.S. Department of the Treasury under the Troubled Asset Relief Program (TARP) Capital Purchase Program to enhance the company’s financial flexibility, as well as for general business purposes, including future growth and potential acquisitions.
Richmond partner Jake Lutz, Richmond of counsel Mark Jones, and Richmond associate Seth Winter led the firm’s team of lawyers in the deal.